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DOJ expels AirBit Ponzi Operator

US Department of Justice and the Southern District of New York (SDNY) expelled a member of a suspected AirBit Club Ponzi scheme for “internationally coordinated fraud and money laundering ring” and suspected of being involved in defrauding individuals “through investments in AirBit Club.”

Last Monday, DOJ identified in a press release an individual named Gutemberg Dos Santos, a citizen from Brazil and the United States, as AirBit Club operators. Dos Santos faced trial in Panama before the SDNY and is now in US custody. Audrey Strauss, the acting United States Attorney, spoke on the matter, saying:

“As alleged, Gutemberg Dos Santos played a key role in an international investment scam that promised extraordinary rates of return on phantom investments in cryptocurrencies, defrauding victims of tens of millions of dollars.”

DOJ suspected Dos Santos and other five operators that hosted lavish events aiming to convince victims to purchase AirBit Club memberships that promised returns.

DOJ stated that after a victim invested, a Promoter has provided them with access to an online AirBit Club portal that will view the claimed returns on memberships. DOJ also claimed that while victims saw “profits” accumulate on their Online Portal, the representations were false:

“No Bitcoin mining or trading on behalf of Victims took place. Instead, Rodriguez, Dos Santos, and others enriched them, and spent Victim money on cars, jewelry, and luxury homes, and financed more extravagant expos to recruit more victims.”

Airbitz Club’s website indicates that some events mentioned above with the latest took place in Sao Paulo, Brazil, last year. Additionally, among the six accused was Scott Hughes, an attorney from California who helped to “remove negative information about AirBit Club and Vizinova from the internet.”

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